Increased sourcing focus may fuel competition for talent
A major change of corporate priorities has ripple effects throughout any company. When organizations reorder their goals and decide to pursue new objectives, they'll have to revise the way they operate from the chain of command to technology use. Strategic sourcing represents such a high-level turning point, which means it's time for businesses to consider how to correctly support this new form of supply chain management.

Staffing is one area due for a serious rethink in the era of strategic sourcing, as the day-to-day productivity demanded of a strategic procurement department is different from the expectations placed on a traditional setup. Whereas in the past, officials were mainly called upon to cut costs at the contract negotiation stage, their input into all areas of the company's supply chain approach has become critical.

The talent crunch
In the midst of a revolution in the way companies look at sourcing and procurement, it shouldn't be surprising that top corporations are igniting a talent war for the services of the best procurement employees. Spend Matters explained that businesses such as Amazon are in the market for effective new workers, and that supply chain leaders will have to work closely with their top contributors to ensure they feel like staying rather than taking a role with an industry giant.

Procurement managers can get closer to their employees by working out customized and preferred roles and paths for progression. When workers' contributions are recognized, and when they are serving in roles that suit their talents and interests, offers from other companies will be less appealing.

As with any department, procurement is the sum of its employees; losing even a single top contributor could have a lingering effect on a company while it tries to replace that person's production.

When teams have trusted leaders, they are better equipped to attract and retain people. Spend Matters explained that chief procurement officers have a strong personal impact on their departments. When companies seek high-quality new recruits for their supply chains, applicants will look at the CPO's history. If there's leadership who can get results, the prospective employee will see a chance to join a successful group.

People make the supply chain - so procurement departments must learn to make their people stay.People make the supply chain - so procurement departments must learn to make their people stay.
Retention is a challenge
Getting ideal new workers is a difficult task worth focusing on, and so is retaining the best members of today's team. A Procurious study warned that a significant percentage of procurement professionals are considering moving on from their jobs. Looking two years into the future, 40 percent of respondents anticipate finding new work, and 70 percent want to make a change within five years.

The report found that more than half of sourcing workers surveyed do not believe their present leaders will be able to help them progress within their careers. This data should worry CPOs and serve as a sign that they have to try harder than ever to create an environment that will incubate and retain talent. If they fail to convince their top performers to stay, there are many other organizations searching for talent to shore up their supply chains.
Share To:

The Strategic Sourceror

Post A Comment:

0 comments so far,add yours